Electronics retailer RadioShack said Thursday that it may have to file for bankruptcy protection if it continues in its struggling sales.

In a regulatory filing, the company revealed just how dire the situation really is, stating that it would not be possible to finance operations "beyond the very near term" if no solution is found.

The electronics seller has been in talks with its stakeholders and third parties about potential options for the future, including selling the business or restructuring. However, the company said that recapitalization "may be our most likely course of action," but did not disclose if this was the next definite step.

Therefore, the company appears to be seriously considering Chapter 11 bankruptcy protection filing. The announcement Thursday was paired with RadioShack's second-quarter financial reports, which ended Aug. 2. According to the report, the company said its net revenue fell 22 percent to $673.8 million from the same period in 2013. This figure also widens its losses to $137.4 million.

Its stock price had fallen to a mere 55 cents over the summer, rose 7 percent Thursday morning, reaching a dollar per share.

At one time, RadioShack was a big player in the technology and gadget industry, but lately has fallen behind in trends. A more than 90-year-old business, RadioShack has been losing customers to Best Buy Co., Inc., Amazon Inc. and WalMart stores for years. It formerly was the go-to destination for mobile phones, personal computers and stereo equipment. But with only small efforts to change with the digital times, RadioShack is being shut out by competitors.

It has recently reported repeated losses each quarter and has severely been falling following 2010. However, in the last 18 months the company has been putting in effort to turnaround, but it is still struggling.